Sps Commerce, Inc. · NASDAQ:SPSC
Sps Commerce — Needham 2nd Annual Software and Services Conference (2013)
16 slides from Sps Commerce's conference presentation, 2013
Slide 1: Needham 2nd Annual Software and Services Conference
NEEDHAM 2ND ANNUAL SOFTWARE AND SERVICES CONFERENCE KIM NELSON, CFO
Slide 2: Forward Looking Statements
FORWARD LOOKING STATEMENTS This presentation contains forward-looking statements, including information about management's view of SPS Commerce's future expectations, plans and prospects, within the safe harbor provisions under The Private Securities Litigation Reform Act of 1995. These statements i
Slide 3: SPS Commerce
SPS COMMERCE SPS Commerce is a leading provider of on-demand supply chain management solutions, providing integration, collaboration, connectivity, visibility and data analytics to over 50,000 customers worldwide
Slide 4: Investment Highlights
INVESTMENT HIGHLIGHTS • Multi-billion dollar market evolution • Leading SaaS Supply Chain network • 27% 5-yr revenue CAGR* – 88% recurring revenue • Multiple growth vectors • ~18,900 recurring customers * Includes FY ‘13 estimate based on mid-point of company guidance provided on July 25, 2013
Slide 5: Supply Chain Is Evolving Rapidly
SUPPLY CHAIN IS EVOLVING RAPIDLY E-Commerce Impact Cloud Adoption New Distribution Challenges Consumer Empowerment
Slide 6: Increasing Complexity Is Driving Change
INCREASING COMPLEXITY IS DRIVING CHANGE Retailers Retailer Integration 3PLs 3PL Integration Sourcing Sourcing Companies Integration 3PL Integration QA Firms Supplier Integration Carrier Suppliers Integration Factor Integration Factory Integration Carriers Factors Factories
Slide 7: SPS Commerce Network
SPS COMMERCE NETWORK Sourcing Retailers Companies Factors Supplier Single Factories Integration QA Firms • Connect / integrate once • Work with everyone today Carriers • Work with everyone tomorrow • Supply chain intelligence 7 3PLs
Slide 8: Diverse Range of Companies
DIVERSE RANGE OF COMPANIES Walmart >|< @sku CANDY L OREMOST OUTFITTER ~ ec . re gistic Edge w Bagel G Loblaws “Your Product is Our Business _* TomTom n © UL NETSUITE ™ TARGET Oz Sik Services TECHNOLOGIES, INC amazon.com. SAI
Slide 9: Multiple Growth Vectors
MULTIPLE GROWTH VECTORS Consolidation Grow channel opportunity partner business Deeper retailer relationships Land new customers Expansion within existing customer base . • . • . . . . More connections More solutions Expand distribution and reach . . • • . 9
Slide 10: Widening Competitive Moat
WIDENING COMPETITIVE MOAT Most Trading Partner Largest Cloud- Deep Integration Connections Based Network Expertise Vision / Innovation Leader 10
Slide 11: A Social Network for the Retail Ecosystem
A SOCIAL NETWORK FOR THE RETAIL ECOSYSTEM Your Universe of Partners 11
Slide 12: Financial Overview
FINANCIAL OVERVIEW @) SPS COMMERCE
Slide 13: Growing and Predictable Business Model
GROWING AND PREDICTABLE BUSINESS MODEL • Strong revenue growth • ~18,900 recurring revenue customers – Avg. customer lifecycle = 8+ years • Increasing wallet share • Recurring revenue = 88% of revenue – Trading partner connections – New solutions • Incremental margin expansion over time
Slide 14: Strong Revenue Growth
STRONG REVENUE GROWTH $ In Millions 110 100 90 80 70 60 50 40 30 20 10 FY 08 FY 09 FY 10 FY 11 FY 12 FY 13* Total Revenue Recurring Revenue * FY ‘13 estimate based on mid-point of company guidance provided on July 25, 2013
Slide 15: Key Metrics Demonstrate Visibility
KEY METRICS DEMONSTRATE VISIBILITY Annual Annual Annual Q2 2013 2010 2011 2012 Recurring Revenue Growth 22% 32% 38% 48% Recurring Revenue 12,399 16,129 17,977 18,871 Customers % Change 13% 30% 11% 11% Avg. Rec. Rev. Per $3,176 $3,440 $3,956 $4,869 Rec. Rev. Customer % Change 10% 8% 15% 33%
Slide 16: Investment Highlights
INVESTMENT HIGHLIGHTS • Multi-billion dollar market evolution • Leading SaaS Supply Chain network • 27% 5-yr revenue CAGR* – 88% recurring revenue • Multiple growth vectors • ~18,900 recurring customers * Includes FY ‘13 estimate based on mid-point of company guidance provided on July 25, 2013
SPS Commerce — Needham 2nd Annual Software and Services Conference (2013) on 6ix